Earthquake Insurance 101

1. Earthquake Insurance 101 By American Tri-Star Insurance Services

2. Anyone who is considering purchasing a home in California will need to think about earthquake insurance at some point. Even though the vast majority of earthquakes are not heard or felt, all it takes is a single natural disaster and your home could be ruined. Read ahead for a look at some of the benefits of earthquake insurance and why you might want to consider this type of coverage.

3. Am I Already Covered? Unless you have spoken to your insurance provider about extending your policy to include earthquakes, you are most likely not covered. Unfortunately, many homeowners never realize that their basic home insurance policies do not cover these natural disasters until it is too late. As a general rule, homeowners insurance only extends to a handful of specific natural disasters such as hailstorms. Any additional coverage you would like must be added to your current policy.

4. A Closer Look at the Coverage Because earthquakes are so common in this state, the California Department of Insurance requires brokers and firms to offer this coverage to their clients every year. A basic earthquake insurance policy will have three different components. The first component covers your actual dwelling after you have paid a 10 or 15 percent deductible. This does not include other parts of your property such as landscaping, a pool, or a gazebo. The second component covers some of the typical belongings in one's home like clothes and electronics. The final component actually provides you with an immediate lump sum to pay for living expenses at another location.

5. Homeowners Who Need Coverage Homeowners should carefully consider a few different variables before deciding if they need coverage. The first step is to take a look at a local earthquake hazard map. These maps are published annually by the United States Geological Survey and the Federal Emergency Management Agency. You should also consider the value of your home and how well it has been fitted to deal with earthquakes. After you have this information, you can then discuss coverage options with a broker to see if earthquake insurance is right for you.

6. Earthquake Retrofitting Retrofitting your home for earthquakes will not only improve your family's safety, but it will also lower your insurance costs. Almost all insurance providers maintain lists of safety and security updates that will reduce one's monthly premiums. For earthquake coverage, this often includes bracing the chimney, bracing the water heater, installing gas shut-off valves, and reinforcing the walls. Homeowners who are more comfortable financially can also reduce their premiums by increasing their deductibles. Determining if you need earthquake insurance is no easy task, but this unique form of coverage could be invaluable in the aftermath of one of these natural disasters.

7. American Tri-Star is a Insurance company base in San Diego, CA. We are specializes in auto insurance, our highly experienced staff will gladly answer all your questions, while getting you started with the most comprehensive and affordable insurance coverage available. Email: contact@americantristarinsurance.com Address: 5945 Mission Gorge Rd. Ste6-7 San Diego CA 92120 Web: http://www.americantristarinsurance.com/ Phone No: 619-272-2100 Fax No: 619-283-9400